Microsoft plans to unveil a preview of its new Internet search engine today that is intended to supplant the industry's two leaders, Yahoo and Google, in what promises to be an epic battle for Web supremacy.

The engine, which can be found at beta.search.msn.com, is Microsoft's first attempt at creating its own algorithmic search technology after depending on others to provide the service, most recently Yahoo.

Microsoft hopes to grab a bigger share of what has become an increasingly important gateway to the Web. Search engines have proven to be extremely popular with Internet users, as well as with advertisers hoping to draw attention to their products.

In creating its own search technology, Microsoft will be able to offer features different from its competitors' in the hope of luring more visitors. In addition, the Redmond, Wash., company will be better able to promote its own Web content by pointing users to other areas of the MSN Web portal, including its music pages, and elsewhere in the Microsoft family, such as the Encarta encyclopedia.

"We think we are coming to the table with a really compelling offering," said Justin Osmer, a product manager for MSN search. "It's a growing category, and every day it seems like there's a new player in the field."

Aside from the usual list of search results, Microsoft's new technology will offer users direct answers for certain queries such as facts and definitions from Encarta encyclopedia and other sources. Some expanded content from Encarta will be available only to subscribers to Microsoft's premium software.

Visitors who enter the name of a music artist, song or album will be directly linked to content from MSN's music pages. Another click gives users access to music samples.

In addition, the engine features tools to localize searches geographically. There are also advanced features that allow users to fine-tune their searches to emphasize or de-emphasize criteria such as a Web site's popularity.

Mark Mahaney, an analyst for American Technology Research, said that Microsoft's future in search is helped by its deep pockets and the popularity of its MSN portal, one of the busiest Internet destinations. He added that Microsoft could really gain market share if it eventually incorporated the new search engine into its dominant browser, Internet Explorer.

"Of course, it's a negative development for Google and Yahoo because you have a major company coming in that has the ability to really promote the hell out of it," Mahaney said.

Daniel Read, vice president of products for Ask Jeeves, the search engine in Emeryville, said he isn't particularly worried by Microsoft's entry into the market. The technology doesn't appear to offer anything unique compared to its competitors, including Ask Jeeves, he said.

"They are entering at ground zero, and they aren't really ahead of the game," Read said.

Google, in Mountain View, declined to comment. Yahoo, in Sunnyvale, did not return a phone call.

Osmer, from Microsoft, emphasized that his company may still add features to its search engine before its official release sometime next year.

Until then, Microsoft's MSN portal and its search-only page at search.msn. com will continue to rely on Yahoo for its algorithmic search.

Even then, Microsoft will continue a partnership with Yahoo's Overture division to supply most advertising on its search properties, Osmer said. Analysts have speculated that Microsoft may ultimately drop Yahoo's sponsored ads in favor of creating its own advertising network.

Microsoft started developing its search engine 18 months ago. Early versions of the technology have appeared intermittently on the Web since the summer, generating ample user feedback, which helped refine the new search engine, according to Osmer.

But in a sign of how competitive the search industry is, Google said Wednesday that it has increased its index of searchable Web pages to 8 billion from 4.2 billion. Microsoft claims an index of 5 billion pages.

Searching for supremacy
Microsoft has a long way to go to catch up with rival search engines Google
and Yahoo. The chart shows the U.S. market share of search queries for each
company.
Google 48.4%
Yahoo 25%
Microsoft 13.9%
Others 12.7%
Source: WebSideStory
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